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Pakka Ltd (IN:PAKKA)
:PAKKA
India Market
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Pakka Ltd (PAKKA) AI Stock Analysis

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IN:PAKKA

Pakka Ltd

(PAKKA)

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Neutral 52 (OpenAI - Gpt-5.6Sol)
Rating:52Neutral
Price Target:
₹75.00
▲(4.53% Upside)
Action:Reiterated
Date:08/20/26
The score is held back primarily by weak financial quality—especially sustained negative free cash flow, margin compression, and a step-up in leverage. Technical indicators are relatively supportive with a strong move above key short/intermediate moving averages and positive MACD, but valuation is a clear headwind given the high P/E and no dividend yield data.
Positive Factors
Reaccelerating Revenue
The strong FY2026 revenue rebound indicates renewed demand for Pakka’s products and demonstrates that the business can regain growth after a slower period. Continued top-line expansion would improve operating leverage, support scale benefits, and strengthen the company’s position in compostable packaging.
Negative Factors
Material Margin Compression
The sharp decline in both operating and net margins shows that recent growth has not translated efficiently into earnings. If cost or product-mix pressure persists, lower profitability could limit reinvestment, weaken earnings quality, and make future growth more dependent on additional capital.
Read all positive and negative factors
Positive Factors
Negative Factors
Reaccelerating Revenue
The strong FY2026 revenue rebound indicates renewed demand for Pakka’s products and demonstrates that the business can regain growth after a slower period. Continued top-line expansion would improve operating leverage, support scale benefits, and strengthen the company’s position in compostable packaging.
Read all positive factors

Pakka Ltd (PAKKA) vs. iShares MSCI India ETF (INDA)

Pakka Ltd Business Overview & Revenue Model

Company Description
Pakka Limited, established in 1981 and based in Ayodhya, India, was formerly recognized as Yash Pakka Limited until its name change in July 2023. This enterprise focuses on the production and distribution of paper-based and molded items, serving b...
How the Company Makes Money
Pakka Ltd primarily makes money by selling compostable packaging products and materials to business customers. Revenue is generated from (1) manufacturing and sale of finished packaging items (such as molded or formed compostable packaging product...

Pakka Ltd Financial Statement Overview

Summary
Mixed fundamentals skew negative: revenue rebounded strongly (~29.6% in FY2026), but profitability weakened sharply (net margin ~5.1% vs ~9.2% prior; operating margin ~7.2% vs ~14.4%). Leverage increased meaningfully (debt-to-equity ~0.90 vs ~0.46). The biggest issue is cash generation, with free cash flow deeply negative in FY2025–FY2026 despite improved operating cash flow, reducing financial flexibility.
Income Statement
62
Positive
Balance Sheet
56
Neutral
Cash Flow
34
Negative
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue3.92B3.56B4.06B4.05B4.08B2.91B
Gross Profit962.94M889.94M2.39B2.47B1.12B1.75B
EBITDA473.95M421.49M744.05M891.92M886.18M693.78M
Net Income147.03M181.49M375.20M434.03M460.43M357.10M
Balance Sheet
Total Assets0.0011.52B7.38B5.07B3.73B3.24B
Cash, Cash Equivalents and Short-Term Investments221.03M221.03M767.18M563.54M21.01M49.69M
Total Debt0.004.58B2.06B1.84B1.04B1.04B
Total Liabilities-4.63B6.46B2.86B2.55B1.67B1.59B
Stockholders Equity4.63B5.06B4.52B2.51B2.06B1.65B
Cash Flow
Free Cash Flow-2.89B-2.89B-1.80B-126.37M122.35M32.14M
Operating Cash Flow654.10M654.10M111.56M469.56M513.71M324.72M
Investing Cash Flow-3.68B-3.68B-1.78B-686.49M-382.41M-293.44M
Financing Cash Flow2.55B2.55B1.78B758.67M-170.98M16.43M

Pakka Ltd Technical Analysis

Technical Analysis Sentiment
Negative
Last Price71.75
Price Trends
50DMA
75.94
Negative
100DMA
82.92
Negative
200DMA
89.81
Negative
Market Momentum
MACD
-0.25
Positive
RSI
42.55
Neutral
STOCH
6.89
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:PAKKA, the sentiment is Negative. The current price of 71.75 is below the 20-day moving average (MA) of 79.33, below the 50-day MA of 75.94, and below the 200-day MA of 89.81, indicating a bearish trend. The MACD of -0.25 indicates Positive momentum. The RSI at 42.55 is Neutral, neither overbought nor oversold. The STOCH value of 6.89 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:PAKKA.

Pakka Ltd Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
₹8.82B9.800.65%1.45%-12.79%
67
Neutral
₹14.59B14.150.87%5.80%13.03%
65
Neutral
₹10.77B4.151.92%2.88%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
55
Neutral
₹73.53B22.190.99%10.27%-11.88%
52
Neutral
₹3.32B22.771.05%0.10%-63.46%
45
Neutral
₹12.84B45.970.78%5.12%-66.53%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:PAKKA
Pakka Ltd
73.78
-77.22
-51.14%
IN:ANDHRAPAP
Andhra Paper Ltd.
64.56
-14.02
-17.84%
IN:JKPAPER
JK Paper Limited
405.55
12.72
3.24%
IN:PDMJEPAPER
Pudumjee Paper Products Ltd.
92.86
-33.10
-26.28%
IN:SESHAPAPER
Seshasayee Paper & Boards Ltd.
231.30
-33.38
-12.61%
IN:TNPL
Tamil Nadu Newsprint & Papers Ltd.
155.65
-4.55
-2.84%

Pakka Ltd Corporate Events

Pakka Limited Gains NSE and BSE Nod to List Preferential Shares
Aug 28, 2026
Pakka Limited has received listing approval from the National Stock Exchange of India for 2,720,000 equity shares of ₹10 each issued to non-promoters on a preferential basis, with the shares to be admitted to trading once depositories confir...
Pakka Limited Publishes Q1 FY2026–27 Earnings Call Transcript
Aug 25, 2026
Pakka Limited has released the edited transcript of its Q1 FY2026–27 earnings conference call, where senior management discussed the company’s financial performance for the quarter ended 30 June 2026. The transcript, prepared from the ...
Pakka Limited Confirms No Deviation in Preferential Issue Fund Use
Aug 15, 2026
Pakka Limited reported that there were no deviations or variations in the use of proceeds from its preferential issue for the quarter ended June 30, 2026, confirming that deployment of funds remains aligned with the Jagriti Project as originally d...
Pakka Limited Discloses SEBI Warning Over Disclosure Lapses
Aug 5, 2026
Pakka Limited has disclosed that it received an administrative warning letter from the Securities and Exchange Board of India, noting observed non-compliances with Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements. The comp...
Pakka Limited Shuts Trading Window Ahead of Q1 FY 2026–27 Results
Jun 28, 2026
Pakka Limited has announced the closure of its trading window for designated persons and their immediate relatives from July 1, 2026, in line with SEBI’s Prohibition of Insider Trading Regulations and the company’s internal code of con...
Pakka Ltd Publishes Q4 FY26 Investor Call Transcript for Public Access
Jun 9, 2026
Pakka Ltd has released the transcript of its investors’ conference call discussing the company’s financial performance for the fourth quarter and the full financial year ended March 31, 2026. The conference call, held on June 2, 2026, ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 20, 2026